Eltes Co (TSE:3967) Interest Coverage: 11.09 (As of Feb. 2026) — 38% Below Median

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TSE:3967 Eltes Co Ltd TSE:3967
64 GF Score
Price 円580.00
GF Value 円973.97
Valuation Possible Value Trap
! 6 Warning Signs
View Full Analysis

What is Eltes Co Interest Coverage?

Eltes Co TSE:3967 -0.17% 64 Interest Coverage is 11.09 as of Feb. 2026, which is 38% below its 10-year median of 17.75. GuruFocus rates TSE:3967 with a GF Score™ of 64/100 and a GF Value™ of 円973.97 (Possible Value Trap). The stock has 6 warning signs investors should review. Among 1,712 Software companies, Eltes Co ranks worse than 70.39% on this metric.

Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income by its Interest Expense. Eltes Co's Operating Income for the six months ended in Feb. 2026 was 円339 Mil. Eltes Co's Interest Expense for the six months ended in Feb. 2026 was 円-31 Mil. Eltes Co's interest coverage for the quarter that ended in Feb. 2026 was 11.09. The higher the ratio, the stronger the company's financial strength is.

The historical rank and industry rank for Eltes Co's Interest Coverage or its related term are showing as below:

TSE:3967' s Interest Coverage Range Over the Past 10 Years
Min: 2.88   Med: 17.75   Max: 656.87
Current: 7.43


TSE:3967's Interest Coverage is ranked worse than
70.39% of 1712 companies
in the Software industry
Industry Median: 24.57 vs TSE:3967: 7.43

Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.


Eltes Co  (TSE:3967) Interest Coverage Explanation

Ben Graham requires that a company has a minimum interest coverage of 5 with the companies he invested. If the interest coverage is less than 2, the company is burdened by debt. Any business slow or recession may drag the company into a situation where it cannot pay the interest on its debt.

Interest Coverage is an important factor when GuruFocus ranks a company's overage Financial Strength .


Eltes Co Interest Coverage Related Terms


Eltes Co Interest Coverage Historical Data

* Premium members only.

The historical data trend for Eltes Co's Interest Coverage can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Note: For Interest Coverage, "No debt" indicates no long-term debt. An indication of "No Debt" does not necessarily mean that the company has no long-term debt obligations; it could be due to missing data in the quarterly or annual report. Use caution when interpreting this information.

Eltes Co Interest Coverage Chart

Eltes Co Annual Data
Trend Feb17 Feb18 Feb19 Feb20 Feb21 Feb22 Feb23 Feb24 Feb25 Feb26
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 17.75 13.07 6.82 2.88 7.43

Eltes Co Semi-Annual Data
Aug16 Feb17 Aug17 Feb18 Aug18 Feb19 Aug19 Feb20 Aug20 Feb21 Aug21 Feb22 Aug22 Feb23 Aug23 Feb24 Aug24 Feb25 Aug25 Feb26
Interest Coverage Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 13.41 0.00 8.25 3.36 11.09

TSE:3967 vs UBER, SHOP, CRM: Interest Coverage Comparison

For the Software - Application subindustry, Eltes Co's Interest Coverage, along with its competitors' market caps and Interest Coverage data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Eltes Co Interest Coverage vs Software Industry

For the Software industry and Technology sector, Eltes Co's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Eltes Co's Interest Coverage falls into.


TSE:3967
64GF Score
Eltes Co Ltd TSE:3967
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Eltes Co Interest Coverage Calculation

Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income (EBIT) by its Interest Expense:

If Interest Expense is negative and Operating Income is positive, then

Interest Coverage=-1* Operating Income /Interest Expense

Else if Interest Expense is negative and Operating Income is negative, then

The company did not have earnings to cover the interest expense.

Else if Interest Expense is 0 and Long-Term Debt & Capital Lease Obligation is 0, then

The company had no debt (1).


Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.

Eltes Co's Interest Coverage for the fiscal year that ended in Feb. 2026 is calculated as

Here, for the fiscal year that ended in Feb. 2026, Eltes Co's Interest Expense was 円-58 Mil. Its Operating Income was 円431 Mil. And its Long-Term Debt & Capital Lease Obligation was 円1,726 Mil.

Interest Coverage=-1* Operating Income (A: Feb. 2026 )/Interest Expense (A: Feb. 2026 )
=-1*431.439/-58.037
=7.43

Eltes Co's Interest Coverage for the quarter that ended in Feb. 2026 is calculated as

Here, for the six months ended in Feb. 2026, Eltes Co's Interest Expense was 円-31 Mil. Its Operating Income was 円339 Mil. And its Long-Term Debt & Capital Lease Obligation was 円1,726 Mil.

Interest Coverage=-1* Operating Income (Q: Feb. 2026 )/Interest Expense (Q: Feb. 2026 )
=-1*338.989/-30.562
=11.09

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

The higher the ratio, the stronger the company's Financial Strength is.

Frequently Asked Questions Learn more about Interest Coverage →
What does a Interest Coverage of 11.09 mean?
Eltes Co (TSE:3967) has a Interest Coverage of 11.09 as of Feb. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Eltes Co and its competitors. This is 38% below median its historical median of 17.75. Over the past decade, Eltes Co's Interest Coverage has ranged from 2.88 to 656.87. According to the industry distribution chart, Eltes Co ranks #1205 out of 1712 companies in the Software industry, placing it in the top 70.4%.
Is Eltes Co's Interest Coverage too high?
Eltes Co's current Interest Coverage of 11.09 is 38% below median its 10-year median of 17.75. Over the past 10 years, this metric has ranged from a low of 2.88 to a high of 656.87. The Software industry median Interest Coverage is 24.57. Eltes Co's value of 11.09 is 54.9% below this industry median. Based on the distribution chart, Eltes Co ranks #1205 out of 1712 companies in the Software industry, which is below the industry midpoint. Overall, Eltes Co has a GF Score™ of 64/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Eltes Co's Interest Coverage compare to UBER and SHOP?
According to the Software industry distribution chart, Eltes Co ranks #1205 out of 1712 companies for Interest Coverage. This places Eltes Co in the lower half of its industry. The industry median Interest Coverage is 24.57. Eltes Co's value of 11.09 is 54.9% below this benchmark. Historically, Eltes Co's own Interest Coverage has ranged from 2.88 to 656.87 over the past decade. While the company's 10-year median is 17.75 vs. the industry median of 24.57, Eltes Co has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Interest Coverage for a Software company?
The median Interest Coverage among Software companies is 24.57, based on 1,712 companies in the industry. Companies in the top quartile (top 25%) have a Interest Coverage significantly above this median, while those in the bottom quartile fall well below. However, Interest Coverage should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Eltes Co's current Interest Coverage of 11.09 is 54.9% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Interest Coverage mean?
A high Interest Coverage can signal that a stock is expensive relative to its fundamentals. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Eltes Co and its competitors. For the Software industry, the median Interest Coverage is 24.57 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Eltes Co's current Interest Coverage is 11.09, which is 38% below median its own 10-year median of 17.75. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Eltes Co stock overvalued right now?
Based on GuruFocus' analysis, Eltes Co (TSE:3967) is currently considered Possible Value Trap. The stock's GF Value™ is 円973.97, compared to a current price of 円580.00 — trading 40.4% below its estimated fair value. The current Interest Coverage is 11.09, which is 38% below median its 10-year median of 17.75 and 54.9% below the Software industry median of 24.57. Eltes Co's overall GF Score™ is 64/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Interest Coverage calculated?
Interest Coverage is calculated from a company's financial statements. For Eltes Co (TSE:3967), the current Interest Coverage is 11.09 as of Feb. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Eltes Co (TSE:3967) Overvalued in 2026?

Based on GuruFocus' analysis, Eltes Co stock appears to be undervalued. The current stock price of 円580.00 is trading 40.4% below its estimated GF Value™ of 円973.97. GuruFocus considers Eltes Co to be Possible Value Trap.

Key valuation signals for TSE:3967:

  • Interest Coverage: 11.09 (38% below median its 10-year median of 17.75)
  • GF Value™: 円973.97 vs. price of 円580.00 (40.4% below fair value)
  • GF Score™: 64/100 with 6 warning signs
  • Industry Position: 54.9% below the Software median (#1205 of 1712)

No single metric tells the full story. See the TSE:3967 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Eltes Co Business Description

Address 2-3 Shiwa Chuo Ekimae, Shiwa-gun, Shiwa-cho, Iwate Prefecture, JPN, 100-6006
Eltes Co Ltd provides consultation services based on digital risk technology for database risk and other large storage protection in Japan. It also offers internal fraud detection services that enable the prevention of information security breaches caused by internal factors; and a service that includes detection and diagnosis of security breaches caused by external factors.
64GF Score

Get the complete analysis for TSE:3967

Interest Coverage is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

円580.00
Price
円973.97
GF Value